jimdepalermo said:
I'm passing along actual numbers for a 1-bedroom apartment in a very good building in Palermo Soho that I rent out temporario. For the period 5-15-2011 to 5-15-2012, the average monthly cost to me was A$R 4,083.43, and of course it's weighted toward recent months, so I would anticipate 5-2012 through 5-2013 to run about 30% more. I can't easily calculate a recent-month average because some largish expenses are paid annually or semi-annually.
This includes expensas, taxes, utilities, insurance, maid, laundry, replacing worn and broken stuff, etc. It does not include agents' commissions, the cost of furnishing and equipping an apartment, or my time involved in minor repairs and oversight.
I should also point out that my costs are on the low end, based on comparison with costs paid by other owners who rent through the same rental agency.
Absolutely jimdepalermo's numbers look correct. I own a 2 bedroom 2 bathroom apartment in Recoleta and pay quite a bit as well.
Condo fees continue to keep going up at least with actual inflation and in many cases faster. I have a good friend that owns a really nice 2 bedroom apartment in Puerto Madero. Quite large around 225 sq. meters and his condo fees jumped up tremendously. He said it used to be $1,000 US per month (dollars NOT pesos) and now it's around $1,500 per month. It's obscenely high in Puerto Madero in the upscale buildings with a lot of employees since they are forced to give the almost 30% a year raises.
On my 2 bedroom 2 bathroom in an older building in Recoleta I pay around 1,500 pesos per month just for the condo fees alone. Like Jim, you have to add on all the other expenses which really add up.
- Fibertel with the 5 MB fast service is about 120 pesos a month
- Cablevision with 2 digital cable converter boxes is around 350 pesos a month with several English channels
- Electricity is quite high for local standards as people always leave the lights and AC running. More so now that the subsidies have ended. My last electricity bill for a 60 day period was 1,200 pesos so an average of 600 pesos a month just in electricity. (I can't imagine what this will be in the really hot summer months)
- Gas is fairly cheap so not a big expense but add on about 75 pesos per billing cycle
- Water isn't too expensive either but still add on at least 100 pesos per billing cycle
- Full insurance insuring it for fire, break ins, etc. I pay a policy that is in dollars. I pay about $35 US per month so what's that..another 175 pesos a month or so...
- Vonage is $20 US per month
- Local phone line I have blocked for cellphone calls and long distance but still costs around 50 pesos a month
- My ABL taxes have steadily increased over the years. (I'm not sure if Jim included that in his figures when he says taxes. Mine are around 4,500 pesos a year but will probably go up next year. So this is another 375 pesos a month. Someone mentioned "monthly ABL bills" but you don't actually get them each month. They come 6 times a year or you can pay it one time in the beginning of the year.
- For the sake of argument, let's not include the $2,000 US I pay in asset/property taxes each year on the property (which averages around $167 US per month)
- Also, that's not including the high rental taxes that I have to pay which are 21% of all rentals. Or doesn't include any management fees to my property manager which aren't cheap.
- Maid and laundry costs have also gone up drastically over the years. Of course it depends on if there are more rentals then I pay more but I don't think i've ever paid less than 500 pesos a month on maid and laundry expenses getting the property ready between rentals.
Like Jim I'm not including any of my time or expenses for upkeep and maintenance which also add up. I also don't charge guests for broken dishes or little stuff so that constantly adds up as well. And stuff will eventually break or need to be replaced. Rental guests don't take as good of care as things as an owner. I just spent 4,300 pesos on a new washing machine. I replace towels/sheets periodically which are very expensive there in Buenos Aires for the good stuff.
Jimdepalermo's numbers actually look fairly good. I also own a 1 bedroom in Recoleta and my condo fees alone in that building have skyrocketed up to 1,200 pesos per month and this is with no security at all or any amenities in the building.
